ISSC
Innovative Aerosystems, Inc.11.90
+0.70+6.25%
Dec 16, 4:00:00 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q1 '26
Q&A reveals growth drivers, M&A momentum
Q&A unpacked Q1's commercial aftermarket boom via new ICAS, LPV systems, and software upgrades for 757/767s—details absent from prepared remarks. Management nudged FY26 organic growth to single digits from flat, citing F-16 ramp through IPDG deliveries and Lockheed RFPs for subassemblies. Defense RFPs proliferate for aging DoD platforms; M&A pipeline yields near-term prospects after walking pricier targets. Yet F-16 integration dragged to nine months. Deals close soon.
Key Stats
Market Cap
209.88MP/E (TTM)
18.03Basic EPS (TTM)
0.66Dividend Yield
0%Recent Filings
10-Q
Q1 FY2026 results
Innovative Solutions and Support crushed Q1 FY2026, with net sales jumping 36.5% y/y to $21.8M on stronger commercial aftermarket product and services demand, while gross margins soared to 54.5% from 41.4%. Operating income rocketed to $6.3M (up from $1.3M), diluted EPS hit $0.22 (vs $0.04), reconciling cleanly to 18.1M shares. Cash from operations powered $8.2M inflow, lifting cash to $8.3M after $1.1M capex; free cash flow not disclosed in the 10-Q. Debt sits steady at $23.8M Initial Term Loan (6.8% effective), with $30M revolver and $45M delayed draw fully available, covenants met. Backlog holds firm at $75.3M. Customer concentration persists.
8-K
Q1 sales up 37%, margins soar
Innovative Aerosystems blasted off Q1 fiscal 2026 with net sales hitting $21.8 million, up 36.5% year-over-year, fueled by commercial aftermarket demand. Gross margins soared to 54.5% while net income reached $4.1 million; free cash flow exploded to $7.0 million. Net leverage dropped to 0.5x. Backlog stands at $75 million.
10-K
FY2025 results
Innovative Solutions and Support crushed FY2025 ended September 30, 2025, with net sales rocketing 78.6% y/y to $84.3M from $47.2M, fueled by $31.0M from the September 2024 Honeywell acquisition of military display generators and flight control computers, plus commercial air transport gains; net income doubled to $15.6M ($0.88 diluted EPS). Product sales surged 122.7% on acquisition momentum, while gross margins dipped to 48.1% from mix shift and integration costs—Q4 drove the spike with Honeywell transition deliveries. Backlog slipped to $77.4M yet 44% converts next 12 months; operating cash flowed $13.3M. No dividends or buybacks; $24.4M debt at 7.0%. Supply chain disruptions threaten quarterly momentum.
8-K
Fiscal 2025 sales up 79%
Innovative Aerosystems crushed fiscal 2025, with net sales rocketing 78.6% to $84.3 million and net income doubling to $15.6 million. Q4 sales surged 44.6% to $22.2 million, gross margins hit 63.2%, Adjusted EBITDA jumped 71.1% to $9.6 million. Backlog stands at $77.4 million. Targets $250 million revenue by 2029.
8-K
Board appoints M&A expert
Innovative Solutions and Support expanded its board to seven members by appointing Richard Silfen as an independent director on October 28, 2025, leveraging his expertise in mergers, acquisitions, and capital transactions from roles at Hildred Capital Management and Duane Morris LLP. This move bolsters oversight for the company's strategy in advanced avionic solutions. Silfen joins at a pivotal moment. The filing notes forward-looking expectations of strategic benefits, tempered by integration risks for acquired product lines.
AIR
AAR Corp.
81.49-1.22
AIRI
Air Industries Group
2.86-0.02
AIRO
AIRO Group Holdings, Inc.
7.69-0.27
AVAV
AeroVironment, Inc.
234.65-0.67
CAE
CAE Inc.
29.04-0.22
CW
Curtiss-Wright Corporation
543.95-3.41
DRS
Leonardo DRS, Inc.
33.12-0.56
ESLT
Elbit Systems Ltd.
523.08+9.81
KTOS
Kratos Defense & Security Solut
73.13-1.13
LOAR
Loar Holdings Inc.
68.45-0.37